Marico Limited Q2FY19 Results: Ad spends up by 11%
Revenue from Operations grew by 20 per cent year-on-year to Rs 1,837 crore.
Published - 01-November-2018
Marico Limited on Thursday declared their Q2FY19 Results. In Q2FY19, Revenue from Operations grew by 20 per cent year-on-year to Rs 1,837 crore. EBITDA stood at Rs 294 crore, up 14 per cent year-on-year and PAT was Rs 214 crore, up 18 per cent year-on-year.
The advertising & sales promotion spends in Q2FY19 was up 11% on a year-on-year basis. The company said that investment towards brand building will be further ramped up to support market growth initiatives in core categories, expansion into adjacent categories and a visibly strong innovation pipeline for the next 2-3 years.
The underlying volume growth in the India business was 6 per cent. While overall consumption trends seemed normal, volume growth in the India business was dampened by a double-digit volume decline in CSD sales. Volume growth ex-CSD was 7 per cent.
The trend of rural growth (24 per cent) outpacing urban growth (11 per cent) sustained during the quarter. Modern Trade grew 39 per cent and e-commerce more than quadrupled during the quarter.
The international business posted a broad-based constant currency growth of 11 per cent, led by volume growth of 8 per cent.
Commenting on the Q2FY19 performance, Saugata Gupta, MD & CEO said, “In addition to the healthy topline and bottom-line growth, we are enthused by the distinctive new products launched during the quarter. The performance in the first half of FY19 affirms our potential to deliver on our growth aspirations. While we continue our efforts towards broad-basing the growth in the domestic business, the international business is also showing signs of a stable upturn. With the innovation engine revving up, we are committed to stepping up the investments behind building our brands and enhancing capabilities especially in the area of premiumisation and new channels.”